Herald building sells for $5.7M

The Monterey Herald's building in Ryan Ranch has been sold for $5.7 million to CSU Monterey Bay, county real estate records say.

Records of the 8 a.m. Tuesday purchase reveal it was $1.5 million less than the asking price.

Publisher Gary Omernick said he was still looking for a new location in Monterey to move the staff and did not have a move-in date for the university.

The 62,500-square foot building was purchased by the college's nonprofit fundraising arm, University Corporation at Monterey Bay.

The organization had $41 million in net assets as of June 2013, according to its most recently available tax returns.

CSUMB President Eduardo Ochoa is still unsure of exactly what the building will be used for.

A news release said some anticipated uses are conducting research, extended education classes, and holding meetings and seminars.

"As a result of the continued growth of our university, we are facing a shortage of space, particularly for some of our research activities," Ochoa said in a news release. "This facility — which is located close to our campus — will address those needs. In addition, we will be able to better serve the continuing education needs of Monterey Peninsula professionals."

The University Corp. — which did not return a call for comment — holds nearly $60 million in land and buildings, according to its tax return.

The sale of The Herald building isn't the first among regional newspapers run by New York City-based Digital First Media. The Santa Cruz Sentinel disassembled its presses in 2007 and moved from downtown Santa Cruz to Scotts Valley.

The San Jose Mercury News building was sold in September and the staff is scheduled to be move to a smaller location some time this year.

The Herald moved into the building at 8 Upper Ragsdale in Monterey in 1990.

Its first building, which no longer exists, was at 453 Alvarado St. in 1922. Five years later, the newspaper moved to the northwest corner of Pearl and Washington streets where it remained until 1953.

After that it moved to a building now used by the Monterey Institute of International Studies at the corner of Jefferson and Pacific streets.

The Herald moved to Ryan Ranch over Memorial Day weekend in 1990. A production facility was already used by the paper in the business park by the late 1980s but it took a $3 million, 20,000 square-foot addition to fit the newsroom and other employees.

Architect Boris Jacoubowsky in 1990 said he designed the building to fit all the new computer equipment of the time while maintaining a continuity of design.

"The increase in parking spaces, carpeted floors and well lighted work areas are appreciated by Herald staffers," a Herald article from 1990 said.

The 6-acre Ryan Ranch property's land and improvements are valued at $10.5 million, according to the Monterey County Assessor.

Mahoney Associates, in partnership with Praxis Commercial, represented The Herald in the sale. Cassidy Turley and Michael Schoeder represented CSUMB.